GRAND RAPIDS, Mich., April 18, 2018 (GLOBE NEWSWIRE) -- Meritage Hospitality Group Inc. (OTCQX:MHGU), one of the nation’s premier restaurant operators, today reported financial results for the first quarter ended April 1, 2018.
2018 First Quarter Highlights
- Sales increased 60.8% to $99.7 million from $62.0 million for the same period last year.
- Earnings from Operations increased 22.9% to $4.2 million compared to $3.4 million for the same period last year. The first quarter 2018 included a one-time charge increase of $745,000 related to pre-opening and acquisition costs.
- Net Income was $1.4 million compared to $1.9 million for the same period last year.
- Consolidated EBITDA (a non-GAAP measure) increased 32.8% to $7.0 million compared to $5.3 million for the same period last year.
- Common stock dividends issued during the first quarter increased 100% over the same period last year.
“The first quarter of 2018 was quite eventful, completing four acquisitions, along with the subsequent integration of 56 Wendy’s located across four states and the opening of seven newly built or renovated restaurants. Our operating teams performed exceptionally well integrating all of these new locations into our operating platform, which resulted in first quarter record sales of nearly $100 million. We plan to accelerate our investment spending in 2018 with a goal of 32 additional reimaged and newly built Wendy’s restaurants. Our new and newly renovated Wendy’s restaurants continue to out-perform, positioning the Company for transformational sales and earnings growth ahead,” stated Robert E. Schermer, Jr., the Company’s CEO.
Full-Year Outlook: Strong Sales & Earnings Growth Ahead
- Sales growth of +40% to 50%
- Earnings from Operations growth of +55% to 65%
- Net Earnings growth of +40% to 50%
- EBITDA growth of +40% to 50%
- Common stock dividend growth +50% to 100%
Meritage continues to distinguish itself as a leader and innovator in the quick service restaurant segment, striving for best in class results through a performance based culture committed to operational excellence, strategic acquisitions and real estate development.
About Meritage
Meritage Hospitality Group Inc. is one of the nation’s premier restaurant operators, with 310 restaurants in operation located in Arkansas, Connecticut, Florida, Georgia, Indiana, Massachusetts, Michigan, Missouri, Mississippi, North Carolina, South Carolina, Ohio, Oklahoma, Tennessee, Texas and Virginia. Meritage is headquartered in Grand Rapids, Michigan, operating with a workforce of approximately 9,400 employees. The Company has approximately 6.2 million (basic) common shares outstanding. The Company’s public filings can be viewed at www.otcmarkets.com, under the stock symbol MHGU, or the Company’s website www.meritagehospitality.com.
SAFE HARBOR STATEMENT
Certain information in this news release, particularly information regarding future economic performance and finances, and plans, expectations and objectives of management, constitutes forward-looking statements. Factors set forth in our Safe Harbor Statement, in addition to other possible factors not listed, could affect the Company’s actual results and cause such results to differ materially from those expressed in forward-looking statements. Please review the Company’s Safe Harbor Statement at http://www.meritagehospitality.com.
CONTACT:
Robert E. Schermer, Jr., CEO
Meritage Hospitality Group Inc.
(616) 776-2600